PORT OF SEATTLE
MEMORANDUM
COMMISSION AGENDA
Item No.
6c
Date of Meeting
August 23, 2011
DATE: August 12, 2011
TO: Tay Yoshitani, Chief Executive Officer
FROM: Ralph Graves, Managing Director, Capital Development
SUBJECT: Consolidated Rental Car Facility Project Contract MC-0315405
Escalator Truss Heaters
Amount of This Request: $420,646.00 Total Project Cost: $232,558,511.00
Source of Funds: RCF Project Contingency. No additional funds required.
Est. State and Local Taxes: $22,093,058.00 of Total Project Cost Jobs Created: None
ACTION REQUESTED:
Request Port Commission ratification of the issuance of an expedited change order in the amount
of $297,136 and authorization for the Chief Executive Officer to issue a second change order in
the amount of $123,510 to install truss heaters in the escalators of the Consolidated Rental Car
Facility (RCF) in the not-to-exceed total amount of $420,646. Funds to cover the cost of the two
change orders are part of the project contingency funds that were included in the previously
approved RCF authorizations.
SYNOPSIS:
As briefed at the July 26, 2011, Commission meeting, the project team has determined that a
heating system for the 16 escalators at the Customer Support Building (CSB) should be installed
to prevent ice (or snow) from forming on the escalator landings and treads which creates a safety
hazard. This modification was suggested by the Department of Labor and Industry Inspector
(L&I) and is supported by the escalator manufacturer.
The project’s sixteen (16) one- and two-story escalators in the CSB are situated within the
building under a large canopy roof structure and although open to exterior elements were
designed as an interior installation through the designer of record’s interpretation of design and
building codes. The escalator subcontractor, Kone, designed and built the escalators in
accordance with the project specifications.
COMMISSION AGENDA
T. Yoshitani, Chief Executive Officer
August 12, 2011
Page 2 of 3
The inspector for the Department of Labor and Industry (L&I), the permitting agency having
jurisdiction (AHJ) on the escalators, verbally raised a concern about the lack of a heater system
for the escalators indicating a strong possibility he would not sign-off on them as part of the
permit requirements on the project. The Inspector’s basis for requiring truss heaters is an
interpretation of code further substantiated by observations of these escalators during inclement
weather conditions during the winter of 2010 during which snow, rain and fog formed ice on the
escalator landings and treads.
After careful consideration of the matter, the project team agreed a heating system is needed to
ensure the escalator landings and treads remain dry and safe for public use.
BACKGROUND:
Initially, the Port, the project design team and the escalator supplier, Kone, held the position that
truss heaters were not required by code, especially given their continuous operation 365 days a
year, 24-hours a day. During discussions on the matter last winter and spring, opinions started to
change because: (1) Kone performed a survey of similarly installed escalators and found those
installed within unconditioned spaces had truss heaters, including the Sound Transit Station
across the street; (2) there were observations of blowing snow and rain occasionally reaching the
CSB escalators during last winter’s severe weather; and, (3) the strong likelihood L&I was going
to require heaters for final permit and a certificate of occupancy for the facility.
The project team agreed a heater design would ensure the escalators treads remain dry and safe
for public use. The escalator subcontractor was requested to and provided the design. The
design includes two different types of heaters, truss and comb plate heaters. The number of truss
heaters, located within each structural support truss for the escalator is dependent upon the length
of the escalators. The comb plate heaters are located within equipment pits on the top and the
bottom of each escalator run. A total of 80 heaters are required to properly heat the 16 escalators
on the project.
A cost proposal for Kone’s supply and installation of the heaters was received July 11, 2011, but
did not include the associated electrical scope of work. Since this change is a specialty item
designed and warranted by the contractor, the Port will pay the actual costs incurred and verified
by backup documentation after the work is complete. It was known at that time that the likely
cost of the change in total would be greater than $300,000 and require Commission approval.
Port staff was notified by the Contractor that the Kone work was time critical and direction to
proceed with material procurement is required immediately. After discussion with the Assistant
Director of Engineering - Construction Services and the Director of Capital Development
Division, the decision was made to issue an expedited change order (ECO #825 executed on July
15, 2011) in the Not-to-Exceed amount of Kone’s cost proposal of $297,136 to direct the Kone
COMMISSION AGENDA
T. Yoshitani, Chief Executive Officer
August 12, 2011
Page 3 of 3
work. This allowed material to be ordered that had a six to eight week lead time for delivery and
avoided schedule delays.
On July 18, 2011, the Contractor provided their final estimate of the costs of the full scope of
escalator heaters (including the associated electrical work) in the amount of $420,646.00 and
requested an additional change order of $123,510 for the costs not covered by ECO #825. A
final reconciliation change order will be issued after the work is complete and backup
documentation verified by the Port. Staff does not expect the final amount to exceed the
Contractor estimate of $420,646.00.
FINANCIAL ANALYSIS:
Funds to pay for this change order are part of the project contingency funds that were included in
previously approved authorizations of $419,306,000.00. No additional project funds are being
requested as a result of this change order.
CONTRACT INFORMATION: The following information relates to the contract and
competitive award:
Contract award date: May 30, 2008
Original period of performance: May 30, 2008 to April 1, 2011
Previous contract extensions: 228 Days
Current Contract Completion Date: November 11, 2011
Original contract amount: $224,837,739.00
Previous Change Order Nos. 001-0843 (excluding CO 0825): $7,300,126.00
Current contract amount $232,137,865.00
This Request:
Change Order 0825 $297,136.00
Change Order 0844 $123,510.00
Total Change for Heating $420,646.00
Revised contract amount: $232,558,511.00
